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Housing affordability in the Auckland region - response to Property Council press release ‘New Urban Limits to Influence Housing’

Statement from Paul Walbran, Chair of Auckland Regional Council’s Regional Strategy and Planning Committee.

The Property Council advocates that the Auckland region must change its urban limits to free up the supply of land for commercial and residential housing, to ease affordability.

Paul Walbran, Auckland Regional Council’s Regional and Strategy Planning Committee chairman says that that releasing land on the outskirts of cities is an over-simplification of a complex issue.

“Releasing land on city fringes does not make housing more affordable. Instead it will probably cause more problems than it solves.

“Increased urban sprawl brings with it increased demand for transport, water, waste removal and other social and physical infrastructure. Their associated costs are inevitably borne by the wider community through traffic congestion, environmental degradation and rates rises.

“That is why Auckland Regional Council’s strategy for the development of the rapidly-growing city of Auckland is to provide a mix of development options; providing opportunities within the existing urban area through redevelopment, as well as opportunities at the fringes.

“While the Regional Growth Strategy promotes development within the urban area focused on town centres and linked to passenger transport, the urban limits have in fact been extended five times since 1999, adding nearly 1500 hectares of land for urban development, bringing the supply of land inside the MUL to 16 years’ worth, at current growth rates.

“By advocating a free-run on land, the Auckland Regional Council believes that the Property Council is advocating for a return to urban sprawl.

“Independent research clearly shows that a more compact city results in lower housing costs per capita, an increased average income per person and is a more efficient, cost effective way of providing infrastructure.

“We only have to look across the Tasman to see the results of what the Property Council is proposing.’

“On the Sydney fringe development levies to cover the cost on infrastructure are running at $100,000 per household. On the outskirts of Melbourne it has been reported that people are spending 35 to 40 per cent of their income on transport to and from work.

“Urban sprawl that results in dormitory suburbs at great distance from employment and services negates the benefits of cheaper homes through higher transport costs, wasted time and poor access to services and employment.

“Ironically, this will be felt most by those who least can afford to own their own property – those on low and fixed incomes.”

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